STATE OF PUNJAB Vs. LABOUR COURT JULLUNDUR

JUDGEMENT

(1.) In this appeal by special leave the State of Punjab appeals against the judgment and order of the High Court of Punjab and Haryana refusing to quash an order under Section 33-C (2) of the Industrial Disputes Act, 1947 for payment of gratuity to the respondents under the Payment of Gratuity Act, 1972.

(2.) The Hydel Department of the Government of Punjab had undertaken a Project described as the "Hydel Upper Bari Doab Construction Project". The respondents Nos. 2 to 8 were employed as work-charged employees. On completion of the work assigned to them they were retrenched, and retrenchment compensation was paid to them. The employee respondents claimed that they were also entitled to gratuity, bonus and certain other allowances and benefits. The gratuity was claimed under the Payment of Gratuity Act, 1972. The claim being disputed, the respondents applied under Section 33-C (2) of the Industrial Disputes Act, 1947 to the Labour Court, Jullundur. The Labour Court made an order dated April 30, 1975 that the employee respondents were entitled to the gratuity claimed by them but not to bonus and the other allowance and benefits. A writ petition filed by the appellant has been dismissed in limine by the High Court of Punjab and Haryana.

(3.) In this appeal, the learned Additional Solicitor-General contends on behalf of the appellant that the Payment of Gratuity Act, 1972 cannot be invoked by the respondents because the Project does not fall within the scope of S. 1 (3) of that Act. Section 1 (3) provides that the Act will apply to: